Which one of the following statements is true if a companys collection period for accounts receivable is
Question:
Which one of the following statements is true if a company’s collection period for accounts receivable is unacceptably long?
a. The company may need to borrow to acquire operating cash.
b. The company may offer trade discounts to lengthen the collection period.
c. Cash flows from operations may be higher than expected for the company’s sales.
d. The company should expand operations with its excess cash.
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Related Book For
Cornerstones Of Financial Accounting Current Trends Update
ISBN: 9781111527952
1st Edition
Authors: Jay Rich , Jeff Jones, Maryanne Mowen , Don Hansen
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